BPO giant takes latest step into life and health sector
Capita took yet another step into the health insurance and life & protection arena today as it announced the acquisition of screening services provider Medicals Direct for £13.2m.
The business process outsourcing provider agreed the deal on a cash free-debt basis, although it has also agreed a deferred consideration linked to profit performance of up to £2m.
The acquisition of Medicals Direct, which provides more than 150,000 medical screenings every year to the life and pensions sector, follows a number of similar acquisitions by Capita in recent years.
Last September it acquired Insurance Medical Group, a medico-legal reporting, diagnostics and physiotherapy and treatment services provider, while the year before it acquired screening and reporting firm Premier Medical Group and First Assist, a provider of employee assistance programmes and absence management services. Earlier this year, meanwhile, it announced plans to acquire Aviva’s UK occupational health business.
Capita chief executive Paul Pindar said the acquisition of Medicals Direct, which has around 180 employees across six offices, gives his organisation new capabilities by, for example, allowing Capita to enter the home-based screening market.
He said: “This investment works well with our existing portfolio of clinic and mobile unit screening services, aligns our health proposition with Capita’s existing life and pensions business and adds important new capability to large scale contracts we may be targeting in the wider private and public sectors.”
Capita, which is involved in a broad number of industries across professional services, also confirmed plans earlier this year to acquire Bluefin Corporate Consulting, the employee benefits business, from AXA.